Several new condominium projects in Bangkok have been launched at prices similar to those from a decade ago, as developers reduce profit margins to attract buyers with limited budgets, according to the Thai Condominium Association.
After halting new condo launches in the first half of the year, some developers resumed projects in the third quarter. Prasert Taedullayasatit, the association’s president, noted that prices have dropped significantly. For example, a project in the Rama IV area is priced at 120,000 baht per square metre, compared to over 150,000 baht for older nearby buildings. Another development in Tha Phra is offered at 60,000-70,000 baht per square metre, well below the general market rate of over 100,000 baht.
These lower prices are expected to attract investors aiming for capital gains once the projects complete, alongside buyers willing to wait before moving in. For end-users, many ready-to-occupy units are available, often priced higher but offering immediate settlement.
Property consultancy Knight Frank Thailand reports that average asking prices for Bangkok condos remained stable during the second quarter, indicating a market that has yet to fully recover. Prices in the central business district averaged 239,475 baht per square metre, a slight drop from 249,744 baht in the same quarter last year. Sukhumvit saw a minor price increase, while Sathon-Silom remained flat, reflecting weak demand in the luxury segment.
Prices on the city outskirts decreased to 126,897 baht per square metre, down from 128,049 baht in the previous quarter, due to reduced buying power and high unsold inventory, forcing developers to cut prices. In suburban Bangkok, prices dropped further to 72,193 baht per square metre, continuing a downward trend as developers seek to attract genuine buyers and clear stock.
Frank Khan, partner and head of residential at Knight Frank Thailand, said stable or falling prices show a market highly sensitive to external economic pressures. Competition remains focused on value, not pricing increases.
Khan added that the condo market faces challenges from weak purchasing power and economic uncertainty. Both developers and buyers are cautious amid global conflicts and negative news, awaiting improved economic and political conditions.
He warned that poor government decisions in real estate could reduce economic growth by up to 25%, given the sector’s important GDP role. The cautious lending policies of Thai commercial banks also limit mortgage approvals, further suppressing housing demand.
These factors will likely keep market sentiment subdued for the rest of the year, mirroring the weak conditions seen in the first half. Khan expects a slow recovery toward year-end, especially if government stimulus measures appear and interest rates ease, which could boost confidence and trigger more buying.
Many developers are delaying project launches, with plans ready and budgets set, conducting soft marketing campaigns to gauge buyer interest.
